J.D. Edwards Plans Restructuring, Layoffs To Reduce Costs - InformationWeek

InformationWeek is part of the Informa Tech Division of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them.Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.

IoT
IoT
News

J.D. Edwards Plans Restructuring, Layoffs To Reduce Costs

Back-office software vendor J.D. Edwards (JDEC-Nasdaq) today unveiled a broad restructuring and said it is laying off more than 800 employees worldwide in an effort to cut costs and stimulate profits.

Recently returned CEO C. Edward McVaney says the company is undertaking a major restructuring of its business goals, "abandoning" its plans to host Internet marketplaces and exchanges, and remaking itself as an evangelist for complex collaborative data interchanges between businesses.

"I have been back at J.D. Edwards for six weeks," says McVaney, the company's one-time CEO who in April returned to the job after the abrupt resignation of Doug Massingill. "It is clear that we need a change of direction. We are adjusting all strategies to leverage the interoperability of our products and pursue business to business and the whole Internet economy."

The company's revenue is expected to be about the same for the first quarter of this year as it was during the same quarter last year, despite the fact that software license revenue grew more than 20%, he says. "It is clear that the company's cost structure is out of line with revenue. We want to drive expense out of the organization and establish a lower cost structure."

The layoffs, 242 of which are in customer training at the company's Denver headquarters, will greatly reduce the company's training staff around the world. McVaney says the company will focus on in-house training at customer sites, rather than classroom training at J.D. Edwards facilities.

We welcome your comments on this topic on our social media channels, or [contact us directly] with questions about the site.
Comment  | 
Print  | 
More Insights
The State of IT & Cybersecurity Operations 2020
The State of IT & Cybersecurity Operations 2020
Download this report from InformationWeek, in partnership with Dark Reading, to learn more about how today's IT operations teams work with cybersecurity operations, what technologies they are using, and how they communicate and share responsibility--or create risk by failing to do so. Get it now!
News
IT Spending Forecast: Unfortunately, It's Going to Hurt
Jessica Davis, Senior Editor, Enterprise Apps,  5/15/2020
Commentary
Helping Developers and Enterprises Answer the Skills Dilemma
Joao-Pierre S. Ruth, Senior Writer,  5/19/2020
Slideshows
Top 10 Programming Languages in Demand Right Now
Cynthia Harvey, Freelance Journalist, InformationWeek,  4/28/2020
Register for InformationWeek Newsletters
Video
Current Issue
Key to Cloud Success: The Right Management
This IT Trend highlights some of the steps IT teams can take to keep their cloud environments running in a safe, efficient manner.
White Papers
Slideshows
Twitter Feed
Sponsored Live Streaming Video
Everything You've Been Told About Mobility Is Wrong
Attend this video symposium with Sean Wisdom, Global Director of Mobility Solutions, and learn about how you can harness powerful new products to mobilize your business potential.
Sponsored Video
Flash Poll